Describe stabilisation policies as by the imf, Microeconomics

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Describe stabilisation policies as by the International Monetary Fund (IMF).

Define stabilisation policies as basically a list of demands set forward by the IMF to a debtor nation which has seen essential to reschedule old debt or borrow anew. These demands are aimed at creating macroeconomic stability in the debtor nation; balance of payments stability, reduced government deficit/debt, stability in exchange rate, and normally move towards a free- market economy.

 


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